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iso4217:USD
xbrli:shares
xbrli:shares
iso4217:USD
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<!-- Begin Block Tagged Note 1 - us-gaap:OrganizationConsolidationAndPresentationOfFinancialStatementsDisclosureTextBlock-->
<!-- xbrl,ns -->
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<div style="font-family: 'Times New Roman',Times,serif">
<div align="center" style="font-size: 10pt; margin-top: 0pt"><b></b>
</div>
<div align="left">
</div>
<div align="center" style="font-size: 10pt"><b></b></div>
<div align="center" style="font-size: 10pt"></div>
<div align="center" style="font-size: 10pt"></div>
<div align="left" style="font-size: 10pt; margin-top: 12pt"><b>Note 1: Basis of Interim Presentation</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">In the opinion of the management of Sonoco Products Company (the “Company” or “Sonoco”),
the accompanying unaudited condensed consolidated financial statements contain all
adjustments (consisting of only normal recurring adjustments, unless otherwise stated)
necessary to state fairly the consolidated financial position, results of operations and
cash flows for the interim periods reported herein. Operating results for the three months
ended April 3, 2011, are not necessarily indicative of the results that may be expected
for the year ending December 31, 2011. These condensed consolidated financial statements
should be read in conjunction with the consolidated financial statements and the notes
thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended
December 31, 2010.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">With respect to the unaudited condensed consolidated financial information of the
Company for the three-month periods ended April 3, 2011 and March 28, 2010 included in
this Form 10-Q, PricewaterhouseCoopers LLP reported that they have applied limited
procedures in accordance with professional standards for a review of such information.
However, their separate report dated May 3, 2011 appearing herein, states that they did
not audit and they do not express an opinion on that unaudited financial information.
Accordingly, the degree of reliance on their report on such information should be
restricted in light of the limited nature of the review procedures applied.
PricewaterhouseCoopers LLP is not subject to the liability provisions of Section 11 of
the Securities Act of 1933 for their report on the unaudited financial information
because that report is not a “report” or a “part” of a registration statement prepared
or certified by PricewaterhouseCoopers LLP within the meaning of Sections 7 and 11 of
the Act.
</div>
</div>
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<!-- Begin Block Tagged Note 2 - us-gaap:StockholdersEquityNoteDisclosureTextBlock-->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="left" style="font-size: 10pt; margin-top: 12pt"><b>Note 2: Shareholders’ Equity</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%"><b><i>Earnings per Share</i></b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The following table sets forth the computation of basic and diluted earnings per share:
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="76%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="6" style="border-bottom: 1px solid #000000"><b>Three Months Ended</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2">April 3,</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2">March 28,</td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000">2011</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000">2010</td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Numerator:
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Net income attributable to Sonoco
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">57,391</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">48,572</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Denominator:
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Weighted average common shares outstanding:
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:45px; text-indent:-15px">Basic
</div></td>
<td> </td>
<td> </td>
<td align="right">101,310,000</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">101,165,000</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:60px; text-indent:-15px">Dilutive effect of stock-based compensation
</div></td>
<td> </td>
<td> </td>
<td align="right">1,444,000</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">677,000</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:45px; text-indent:-15px">Diluted
</div></td>
<td> </td>
<td> </td>
<td align="right">102,754,000</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">101,842,000</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Reported net income attributable to Sonoco per common
share:
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:45px; text-indent:-15px">Basic
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">0.57</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">0.48</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:45px; text-indent:-15px">Diluted
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">0.56</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">0.48</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">Stock options and stock appreciation rights covering 1,197,925 and 1,898,194 shares at
April 3, 2011 and March 28, 2010, respectively, were not dilutive and, therefore, are
excluded from the computations of diluted income attributable to Sonoco per common share
amounts. No adjustments were made to reported net income attributable to Sonoco in the
computations of earnings per share.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%"><b><i>Stock Repurchases</i></b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company’s Board of Directors has authorized the repurchase of up to 5,000,000 shares
of the Company’s common stock. On December 3, 2010, the Company announced it would
immediately begin repurchasing 2,000,000 shares. As of December 31, 2010, a total of
695,036 shares had been repurchased under this program at a cost of $23,219. During the
first quarter of 2011, an additional 1,304,964 shares were repurchased at a cost of
$46,298, completing the announced buyback. On April 20, 2011, the Company’s
Board of Directors reinstated 2,000,000 shares to its authorization, returning
the total number of shares available for future repurchase to 5,000,000 as of that date.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company occasionally repurchases shares of its common stock to satisfy employee tax
withholding obligations in association with the exercise of stock appreciation rights and
performance-based stock awards. These repurchases, which are not part of a publicly
announced plan or program, totaled 34,098 and 3,678 shares in the first three months of
2011 and 2010, respectively, at a cost of $1,237 and $110, respectively.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%"><b><i>Dividend Declarations</i></b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">On February 8, 2011, the Board of Directors declared a regular quarterly dividend of $0.28
per share. This dividend was paid March 10, 2011 to all shareholders of record as of
February 18, 2011.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">On April 20, 2011, the Board of Directors declared a regular quarterly dividend of $0.29
per share. This dividend is payable June 10, 2011 to all shareholders of record as of May
13, 2011.
</div>
</div>
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<!-- Begin Block Tagged Note 3 - us-gaap:RestructuringAndRelatedActivitiesDisclosureTextBlock-->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="left" style="font-size: 10pt; margin-top: 12pt"><b>Note 3: Restructuring and Asset Impairment</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company has engaged in a number of restructuring actions over the past several years.
Actions initiated in 2011, 2010, 2009, and 2008 are reported as “2011 Actions,” “2010
Actions,” “2009 Actions,” and “2008 Actions,” respectively. Actions initiated prior to
2008, all of which were substantially complete at April 3, 2011, are reported as “Earlier
Actions.”
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">Following are the total restructuring and asset impairment charges, net of adjustments,
recognized by the Company during the periods presented:
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="76%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="6" style="border-bottom: 1px solid #000000"><b>Three Months Ended</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>April 3,</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>March 28,</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2011</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2010</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Restructuring/Asset impairment:
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">2011 Actions
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">379</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">—</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">2010 Actions
</div></td>
<td> </td>
<td> </td>
<td align="right">159</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">2,733</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">2009 Actions
</div></td>
<td> </td>
<td> </td>
<td align="right">1,135</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">1,787</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">2008 Actions
</div></td>
<td> </td>
<td> </td>
<td align="right">539</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">523</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Earlier Actions
</div></td>
<td> </td>
<td> </td>
<td align="right">105</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(1,096</td>
<td nowrap="nowrap">)</td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Restructuring/Asset impairment charges
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">2,317</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">3,947</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Income tax benefit
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(736</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(1,742</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Equity method investments, net of tax
</div></td>
<td> </td>
<td> </td>
<td align="right">17</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">218</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Costs attributable to Noncontrolling Interests, net of tax
</div></td>
<td> </td>
<td> </td>
<td align="right">43</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">39</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Total impact of Restructuring/Asset impairment charges, net of tax
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">1,641</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">2,462</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">Restructuring and asset impairment charges are included in “Restructuring/Asset impairment
charges” in the Condensed Consolidated Statements of Income.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company expects to recognize future additional cash costs totaling approximately
$2,450 in connection with previously announced restructuring actions and believes that the
majority of these charges will be incurred and paid by the end of 2011. The Company
continually evaluates its cost structure, including its manufacturing capacity, and
additional restructuring actions may be undertaken.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%"><b>2011 Actions</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">During 2011, the Company continued to realign its fixed cost structure resulting in the
elimination of 28 positions.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">Below is a summary of 2011 Actions and related expenses by type incurred and estimated to
be incurred through completion.
</div>
<!-- Folio -->
<!-- /Folio -->
</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="center" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="76%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>First</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Quarter</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Estimated</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td nowrap="nowrap" align="left" style="border-bottom: 1px solid #000000"><b>2011 Actions</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2011</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Total Cost</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Severance and Termination Benefits</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Tubes and Cores/Paper segment
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">234</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">234</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Consumer Packaging segment
</div></td>
<td> </td>
<td> </td>
<td align="right">135</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">135</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Other Costs</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Consumer Packaging segment
</div></td>
<td> </td>
<td> </td>
<td align="right">10</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">410</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Total Charges and Adjustments</b>
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">379</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">779</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The following table sets forth the activity in the 2011 Actions restructuring
accrual included in “Accrued expenses and other” on the Company’s Condensed Consolidated
Balance Sheets:
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="52%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Severance</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Asset</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>and</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Impairment/</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Termination</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Disposal</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Other</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td nowrap="nowrap" align="left" style="border-bottom: 1px solid #000000"><b>2011 Actions</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Benefits</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>of Assets</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Costs</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Total</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Accrual Activity 2011 Year to Date</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Liability at December 31, 2010
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">—</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">2011 charges
</div></td>
<td> </td>
<td> </td>
<td align="right">369</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">10</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">379</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Cash receipts/(payments)
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(369</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(10</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(379</td>
<td nowrap="nowrap">)</td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Liability at April 3, 2011
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">—</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company expects to pay the majority of the remaining 2011 Actions restructuring
costs by the end of 2011 using cash generated from operations.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%"><b>2010 Actions</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">During 2010, the Company consolidated two manufacturing operations in the Packaging
Services segment into a single facility as well as closed two North American tube and core
plants and a North American molded plug manufacturing plant (part of the Tubes and
Cores/Paper segment). In addition, the Company continued to realign its fixed cost
structure resulting in the elimination of 112 positions in 2010.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">Below is a summary of 2010 Actions and related expenses by type incurred and estimated to
be incurred through completion.
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="52%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>First</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>First</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Total</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Quarter</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Quarter</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Incurred to</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Estimated</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td nowrap="nowrap" align="left" style="border-bottom: 1px solid #000000"><b>2010 Actions</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2011</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2010</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Date</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Total Cost</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Severance and Termination Benefits</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Tubes and Cores/Paper segment
</div></td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(42</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td align="left">$</td>
<td align="right">1,227</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">2,360</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">2,360</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Consumer Packaging segment
</div></td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">321</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">705</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">705</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Packaging Services segment
</div></td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">1,152</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">1,555</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">1,555</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">All Other Sonoco
</div></td>
<td> </td>
<td> </td>
<td align="right">182</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">33</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">300</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">300</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Corporate
</div></td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">36</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">36</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Asset Impairment / Disposal of Assets</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Tubes and Cores/Paper segment
</div></td>
<td> </td>
<td> </td>
<td align="right">5</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">894</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">894</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Packaging Services segment
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(429</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(565</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(565</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">All Other Sonoco
</div></td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">369</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">369</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Other Costs</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Tubes and Cores/Paper segment
</div></td>
<td> </td>
<td> </td>
<td align="right">161</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">220</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">570</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Consumer Packaging segment
</div></td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">19</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">19</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Packaging Services segment
</div></td>
<td> </td>
<td> </td>
<td align="right">139</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">472</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">472</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">All Other Sonoco
</div></td>
<td> </td>
<td> </td>
<td align="right">143</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">444</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">494</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Total Charges and Adjustments</b>
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">159</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">2,733</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">6,809</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">7,209</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<!-- Folio -->
<!-- /Folio -->
</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="center" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The following table sets forth the activity in the 2010 Actions restructuring
accrual included in “Accrued expenses and other” on the Company’s Condensed Consolidated
Balance Sheets:
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="52%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Severance</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Asset</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>and</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Impairment/</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Termination</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Disposal</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Other</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td nowrap="nowrap" align="left" style="border-bottom: 1px solid #000000"><b>2010 Actions</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Benefits</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>of Assets</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Costs</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Total</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Accrual Activity 2011 Year to Date</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Liability at December 31, 2010
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">1,282</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">59</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">1,341</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">2011 charges
</div></td>
<td> </td>
<td> </td>
<td align="right">182</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">443</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">625</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Adjustments
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(42</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(424</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(466</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Cash receipts/(payments)
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(634</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td> </td>
<td align="right">844</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(503</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(293</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Asset write downs/disposals
</div></td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(420</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(420</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Foreign currency translation
</div></td>
<td> </td>
<td> </td>
<td align="right">10</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">1</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">11</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Liability at April 3, 2011
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">798</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">798</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">“Other costs” consist primarily of lease termination costs and costs related to
plant closures including the cost of equipment removal, utilities, plant security,
property taxes and insurance. “Adjustments” consist primarily of gains on the sales of
equipment.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company expects to pay the majority of the remaining 2010 Actions restructuring costs
by the end of 2011 using cash generated from operations.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%"><b>2009 Actions</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">During 2009, the Company closed a paper mill in the United States and five tube and core
plants — three in the United States, one in Europe, and one in Canada (all part of the
Tubes and Cores/Paper segment). The Company also closed two rigid paper packaging plants
in the United States (part of the Consumer Packaging segment), a fulfillment service
center in Germany (part of the Packaging Services segment), a molded plastics facility in
the United States (part of All Other Sonoco) and a wooden reel facility in the United
States (part of All Other Sonoco). The Company also sold a small Canadian recovered paper
brokerage business with annual sales of approximately $7,000 and continued to realign its
fixed cost structure resulting in the elimination of approximately 225 positions in 2009.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">Below is a summary of 2009 Actions and related expenses by type incurred and estimated to
be incurred through the end of the restructuring initiative.
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="52%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>First</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>First</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Total</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Quarter</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Quarter</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Incurred to</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Estimated</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td nowrap="nowrap" align="left" style="border-bottom: 1px solid #000000"><b>2009 Actions</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2011</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2010</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Date</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Total Cost</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Severance and Termination Benefits</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Tubes and Cores/Paper segment
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">38</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">256</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">15,246</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">15,246</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Consumer Packaging segment
</div></td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">250</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">2,355</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">2,355</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Packaging Services segment
</div></td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(53</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td> </td>
<td align="right">1,482</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">1,482</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">All Other Sonoco
</div></td>
<td> </td>
<td> </td>
<td align="right">12</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">198</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">1,445</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">1,445</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Corporate
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(4</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td> </td>
<td align="right">6</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">923</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">923</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Asset Impairment / Disposal of Assets</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Tubes and Cores/Paper segment
</div></td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(38</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td> </td>
<td align="right">4,119</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">4,119</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Consumer Packaging segment
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(10</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">566</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">566</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Packaging Services segment
</div></td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">7</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">7</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">All Other Sonoco
</div></td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">305</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">305</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Other Costs</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Tubes and Cores/Paper segment
</div></td>
<td> </td>
<td> </td>
<td align="right">846</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">510</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">5,631</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">6,131</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Consumer Packaging segment
</div></td>
<td> </td>
<td> </td>
<td align="right">243</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">333</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">1,068</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">1,268</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Packaging Services segment
</div></td>
<td> </td>
<td> </td>
<td align="right">10</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">180</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">335</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">335</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">All Other Sonoco
</div></td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">145</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">483</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">483</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Total Charges and Adjustments</b>
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">1,135</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">1,787</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">33,965</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">34,665</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<!-- Folio -->
<!-- /Folio -->
</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="center" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="1%" nowrap="nowrap" align="left"> </td>
<td width="1%"> </td>
<td>The following table sets forth the activity in the 2009 Actions restructuring accrual
included in “Accrued expenses and other” on the Company’s Condensed Consolidated Balance Sheets:</td>
</tr>
</table>
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="52%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Severance</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Asset</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>and</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Impairment/</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Termination</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Disposal</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Other</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td nowrap="nowrap" align="left" style="border-bottom: 1px solid #000000"><b>2009 Actions</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Benefits</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>of Assets</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Costs</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Total</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Accrual Activity 2011 Year to Date</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Liability at December 31, 2010
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">4,696</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">4,696</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">2011 charges
</div></td>
<td> </td>
<td> </td>
<td align="right">38</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">1,099</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">1,137</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Adjustments
</div></td>
<td> </td>
<td> </td>
<td align="right">8</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(10</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(2</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Cash receipts/(payments)
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(709</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td> </td>
<td align="right">720</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(1,099</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(1,088</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Asset write downs/disposals
</div></td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(710</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(710</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Foreign currency translation
</div></td>
<td> </td>
<td> </td>
<td align="right">3</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">3</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Liability at April 3, 2011
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">4,036</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">4,036</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">“Other costs” consist primarily of costs related to plant closures including the cost of
equipment removal, utilities, plant security, property taxes and insurance.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company expects to pay the majority of the remaining 2009 Actions restructuring costs by the
end of 2011 using cash generated from operations.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%"><b>2008 Actions</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">During 2008, the Company closed ten tube and core plants — three in the United States, three in
Canada, two in the United Kingdom, one in Spain, and one in China; two paper mills — one in the
United States and one in Canada; and a specialty paper machine in the United States (all part of
the Tubes and Cores/Paper segment). In addition, four rigid packaging plants were closed in the
United States (part of the Consumer Packaging segment) and two fulfillment centers in the United
States (part of the Packaging Services segment). The Company also realigned its fixed cost
structure resulting in the elimination of approximately 125 salaried positions.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The estimated total cost of 2008 Actions is expected to reach $48,702, of which $48,002 had been
incurred as of April 3, 2011. Costs for these actions included in the quarters ended April 3,
2011 and March 28, 2010, totaled $539 and $523, respectively. Below is a summary of
expenses/(income) incurred by segment for 2008 Actions for the quarters ended April 3, 2011 and
March 28, 2010.
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="76%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>First</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>First</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Quarter</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Quarter</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td nowrap="nowrap" align="left" style="border-bottom: 1px solid #000000"><b>2008 Actions</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2011</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2010</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Tubes and Cores/Paper segment
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">539</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">454</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Consumer Packaging segment
</div></td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">69</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Total Charges and Adjustments</b>
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">539</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">523</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The accrual for 2008 actions totaled $436 and $478 at April 3, 2011 and December 31, 2010,
respectively. Net cash payments during the quarter ended April 3, 2011 were $338. The Company
expects to pay the majority of the remaining 2008 Actions restructuring costs by the end of 2011
using cash generated from operations.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%"><b>Earlier Actions</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">Earlier Actions are comprised of a number of plant closures and workforce reductions initiated
prior to 2008. Charges associated with these actions totaled $105 during the quarter ended April
3, 2011, compared with income of $1,096 during the quarter ended March 28, 2010. The 2010 income
resulted from a gain on the sale of land and buildings associated with a former paper mill in
France. The accrual for Earlier Actions totaled $521 and $503 at April 3, 2011 and December 31,
2010, respectively, and relates primarily to building lease terminations. The accrual is
included in “Accrued expenses and other” on the Company’s Condensed Consolidated Balance Sheet.
Net cash payments during the quarter ended April 3, 2011 were $107. The
Company expects to recognize future pre-tax charges of approximately $250
associated with Earlier Actions, primarily related to costs of exiting a paper mill in
China. The Company expects both the liability and the future costs to be fully paid at
the end of 2012, using cash generated from operations.
</div>
</div>
<!--DOCTYPE html PUBLIC "-//W3C//DTD XHTML 1.0 Transitional//EN" "http://www.w3.org/TR/xhtml1/DTD/xhtml1-transitional.dtd" -->
<!-- Begin Block Tagged Note 4 - us-gaap:ComprehensiveIncomeNoteTextBlock-->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="left" style="font-size: 10pt; margin-top: 12pt"><b>Note 4: Comprehensive Income</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The following table reconciles net income to comprehensive income attributable to Sonoco:
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="76%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="6" style="border-bottom: 1px solid #000000"><b>Three Months Ended</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2">April 3,</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2">March 28,</td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000">2011</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000">2010</td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Net income
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">57,637</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">48,553</td>
<td> </td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Other comprehensive income/(loss):
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Foreign currency translation adjustments
</div></td>
<td> </td>
<td> </td>
<td align="right">39,651</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(11,249</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Changes in defined benefit plans, net of tax
</div></td>
<td> </td>
<td> </td>
<td align="right">2,596</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">4,179</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Changes in derivative financial instruments, net of tax
</div></td>
<td> </td>
<td> </td>
<td align="right">2,865</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(3,078</td>
<td nowrap="nowrap">)</td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Comprehensive income
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">102,749</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">38,405</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Comprehensive (income)/loss attributable to noncontrolling interests
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(246</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td> </td>
<td align="right">19</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Comprehensive income attributable to Sonoco
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">102,503</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">38,424</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The following table summarizes the components of accumulated other comprehensive loss and
the changes in accumulated other comprehensive loss, net of tax as applicable, for the
three months ended April 3, 2011:
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="52%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Foreign</b></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Accumulated</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Currency</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Defined</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Derivative</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Other</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Translation</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Benefit</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Financial</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Comprehensive</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Adjustments</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #ffffff"><b>Plans</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #ffffff"><b>Instruments</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Loss</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr style="font-size: 1px">
<td> </td>
<td> </td>
<td colspan="15" align="left" style="border-top: 1px solid #000000">       </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Balance at December 31, 2010
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">17,685</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(303,037</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(7,515</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(292,867</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Year-to-date change
</div></td>
<td> </td>
<td> </td>
<td align="right">39,651</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">2,596</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">2,865</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">45,112</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Balance at April 3, 2011
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">57,336</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(300,441</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(4,650</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(247,755</td>
<td nowrap="nowrap">)</td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">At April 3, 2011, the Company had commodity and foreign currency contracts outstanding to
fix the costs of certain anticipated raw materials and energy purchases. These contracts,
which have maturities ranging from April 2011 to December 2012, qualify as cash flow
hedges under U.S. GAAP. The amounts included in accumulated other comprehensive loss
related to these cash flow hedges were an unfavorable position of $7,310 ($4,650 after
tax) at April 3, 2011, and an unfavorable position of $11,921 ($7,515 after tax) at
December 31, 2010.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The cumulative tax benefit on Derivative Financial Instruments was $2,660 at April 3,
2011, and $4,406 at December 31, 2010. During the three-month period ended April 3, 2011,
the tax benefit on Derivative Financial Instruments decreased by $1,746.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The cumulative tax benefit on Defined Benefit Plans was $178,005 at April 3, 2011, and
$179,628 at December 31, 2010. During the three-month period ended April 3, 2011, the tax
benefit on Defined Benefit Plans decreased by $1,623.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">Current period foreign currency translation adjustments of $324 are included in
noncontrolling interests at April 3, 2011.
</div>
<!-- Folio -->
<!-- /Folio -->
</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="center" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
</div>
</div>
<!--DOCTYPE html PUBLIC "-//W3C//DTD XHTML 1.0 Transitional//EN" "http://www.w3.org/TR/xhtml1/DTD/xhtml1-transitional.dtd" -->
<!-- Begin Block Tagged Note 5 - us-gaap:GoodwillAndIntangibleAssetsDisclosureTextBlock-->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="left" style="font-size: 10pt; margin-top: 12pt"><b>Note 5: Goodwill and Other Intangible Assets</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%"><b><i>Goodwill</i></b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">A summary of the changes in goodwill for the three months ended April 3, 2011 is as
follows:
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="40%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Tubes and</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Cores</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Consumer</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Packaging</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>/Paper</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Packaging</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Services</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>All Other</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"> </td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Segment</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #ffffff"><b>Segment</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #ffffff"><b>Segment</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #ffffff"><b>Sonoco</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #ffffff"><b>Total</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr style="font-size: 1px">
<td> </td>
<td> </td>
<td colspan="19" align="left" style="border-top: 1px solid #000000"> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Goodwill at December 31, 2010
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">231,637</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">389,384</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">150,082</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">68,645</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">839,748</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Other
</div></td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(2,846</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(2,846</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Foreign currency translation
</div></td>
<td> </td>
<td> </td>
<td align="right">7,349</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">4,494</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">111</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">11,954</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Goodwill at April 3, 2011
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">238,986</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">391,032</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">150,082</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">68,756</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">848,856</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">During the first quarter of 2011, the Company reclassified amounts previously recorded on
its condensed consolidated balance sheets as “Goodwill” to “Long-Term Deferred Income
Taxes” related to the July 2010 acquisition of Associated Packaging Technologies, Inc.
This reclassification resulted from a final review of the facts and conditions that
existed at the time of the acquisition.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company completed its most recent annual goodwill impairment testing during the third
quarter of 2010. Based on the results of this evaluation, the Company concluded that there
was no impairment of goodwill for any of its reporting units. For 2010 testing purposes,
the fair values of the Company’s reporting units were estimated based on projections of
future years’ operating results and associated cash flows, together with comparable
trading and transaction multiples. The Company’s projections incorporated management’s
expectations for future growth and, where applicable, improved operating margins. Should
such growth and/or margin improvement not materialize as projected, or if the Company’s
assessments of the relevant facts and circumstances change, noncash impairment charges may
be required. Reporting units with significant goodwill whose results need to show
improvement included Tubes & Cores/Paper — Europe, Matrix Packaging, Flexible Packaging,
Packaging Services, and Rigid Paper Containers — Australia/New Zealand. Total goodwill
associated with these reporting units was approximately $108,000, $132,000, $97,000,
$150,000, and $6,000, respectively at April 3, 2011. There were no triggering events
during the quarter ended April 3, 2011.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%"><b><i>Other Intangible Assets</i></b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">A summary of other intangible assets as of April 3, 2011 and December 31, 2010 is as
follows:
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="76%"> </td>
<td width="5%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="3%"> </td>
<td width="5%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="3%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>April 3,</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>December 31,</b></td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>2011</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>2010</b></td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr style="font-size: 1px">
<td colspan="9" align="left" style="border-top: 1px solid #000000"> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Other Intangible Assets, gross
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Patents
</div></td>
<td> </td>
<td align="right">$</td>
<td align="right">2,267</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">2,264</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Customer lists
</div></td>
<td> </td>
<td> </td>
<td align="right">183,375</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">180,673</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Land use rights
</div></td>
<td> </td>
<td> </td>
<td align="right">362</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">354</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Supply agreements
</div></td>
<td> </td>
<td> </td>
<td align="right">1,000</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">1,000</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Other
</div></td>
<td> </td>
<td> </td>
<td align="right">16,589</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">16,409</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td colspan="9" align="left" style="border-top: 1px solid #000000"> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Other Intangible Assets, gross
</div></td>
<td> </td>
<td align="right">$</td>
<td align="right">203,593</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">200,700</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td colspan="9" align="left" style="border-top: 1px solid #000000"> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Accumulated Amortization
</div></td>
<td> </td>
<td nowrap="nowrap" align="right">$</td>
<td align="right">(75,054</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="right">$</td>
<td align="right">(70,300</td>
<td nowrap="nowrap">)</td>
</tr>
<tr style="font-size: 1px">
<td colspan="9" align="left" style="border-top: 1px solid #000000"> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Other Intangible Assets, net
</div></td>
<td> </td>
<td align="right">$</td>
<td align="right">128,539</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">130,400</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td colspan="9" align="left" style="border-top: 3px double #000000"> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">Other intangible assets are amortized on a straight-line basis over their respective
useful lives, which generally range from three to twenty years. The Company has no
intangibles with indefinite lives. Aggregate amortization expense was $3,702 and $3,003
for the three months ended April 3, 2011 and March 28, 2010, respectively. Amortization
expense on other intangible assets is expected to approximate $13,900 in 2011, $13,200 in
2012, $12,900 in 2013, $12,300 in 2014 and $10,900 in 2015.
</div>
<!-- Folio -->
<!-- /Folio -->
</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="center" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
</div>
</div>
<!--DOCTYPE html PUBLIC "-//W3C//DTD XHTML 1.0 Transitional//EN" "http://www.w3.org/TR/xhtml1/DTD/xhtml1-transitional.dtd" -->
<!-- Begin Block Tagged Note 6 - us-gaap:FairValueDisclosuresTextBlock-->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="left" style="font-size: 10pt; margin-top: 12pt"><b>Note 6: Fair Value Measurements</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The following table sets forth information regarding the Company’s financial assets and
financial liabilities, excluding retirement and postretirement plan assets, measured at
fair value on a recurring basis. The Company does not currently have any nonfinancial
assets or liabilities that are recognized or disclosed at fair value on a recurring basis.
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="52%"> </td>
<td width="5%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="3%"> </td>
<td width="5%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="3%"> </td>
<td width="5%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="3%"> </td>
<td width="5%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="3%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="11" style="border-bottom: 1px solid #000000"><b>Fair Value Measurements at Reporting Date Using</b></td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Carrying</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Quoted Market</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Amount in</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Prices in Active</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Significant</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Condensed</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Market for</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Other</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Significant</b></td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Consolidated</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Identical</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Observable</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Unobservable</b></td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Balance Sheets</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Assets/Liabilities</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Inputs</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Inputs</b></td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td nowrap="nowrap" align="left" style="border-bottom: 1px solid #000000"><b>Description</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3" style="border-bottom: 1px solid #000000"> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3" style="border-bottom: 1px solid #000000"><b>(Level 1)</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3" style="border-bottom: 1px solid #000000"><b>(Level 2)</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3" style="border-bottom: 1px solid #000000"><b>(Level 3)</b></td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>As of April 3, 2011</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Assets:
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Derivatives
</div></td>
<td> </td>
<td align="right">$</td>
<td align="right">4,004</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">4,004</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">—</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Deferred Compensation Plan Assets
</div></td>
<td> </td>
<td align="right">$</td>
<td align="right">2,347</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">2,347</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">—</td>
<td> </td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Liabilities:
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Derivatives
</div></td>
<td> </td>
<td align="right">$</td>
<td align="right">11,026</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">11,026</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">—</td>
<td> </td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>As of December 31, 2010</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Assets:
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Derivatives
</div></td>
<td> </td>
<td align="right">$</td>
<td align="right">1,172</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">1,172</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">—</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Deferred Compensation Plan Assets
</div></td>
<td> </td>
<td align="right">$</td>
<td align="right">2,236</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">2,236</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">—</td>
<td> </td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Liabilities:
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Derivatives
</div></td>
<td> </td>
<td align="right">$</td>
<td align="right">13,304</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">13,304</td>
<td> </td>
<td> </td>
<td align="right">$</td>
<td align="right">—</td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">Fair value measurements for the Company’s derivatives, which at April 3, 2011 and December
31, 2010, consisted primarily of natural gas, aluminum, old corrugated containers and
foreign currency contracts entered into for hedging purposes, are classified under Level 2
and are valued using the income approach. These measurements are determined using
published market prices or estimated based on observable inputs including spot and future
commodity prices and spot and future exchange rates.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">Certain deferred compensation plan liabilities are funded and the assets invested in
various exchange traded mutual funds. These assets are measured using quoted prices in
accessible active markets for identical assets.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">Excluding certain retirement and postretirement plan assets, none of the Company’s
financial assets or liabilities are measured at fair value using significant unobservable
inputs. There were no significant transfers in or out of Level 1 or Level 2 fair value
measurements during the three-month period ended April 3, 2011.
</div>
</div>
<!--DOCTYPE html PUBLIC "-//W3C//DTD XHTML 1.0 Transitional//EN" "http://www.w3.org/TR/xhtml1/DTD/xhtml1-transitional.dtd" -->
<!-- Begin Block Tagged Note 7 - us-gaap:DerivativeInstrumentsAndHedgingActivitiesDisclosureTextBlock-->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="left" style="font-size: 10pt; margin-top: 12pt"><b>Note 7: Financial Instruments and Derivatives</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The following table sets forth the carrying amounts and fair values of the Company’s
significant financial instruments for which the carrying amount differs from the fair
value.
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="52%"> </td>
<td width="5%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="3%"> </td>
<td width="5%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="3%"> </td>
<td width="5%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="3%"> </td>
<td width="5%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="3%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="6" style="border-bottom: 1px solid #000000"><b>April 3, 2011</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="6" style="border-bottom: 1px solid #000000"><b>December 31, 2010</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Carrying</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Fair</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Carrying</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Fair</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Amount</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Value</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Amount</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Value</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr style="font-size: 1px">
<td colspan="17" align="left" style="border-top: 1px solid #000000"> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Long-term debt, net
of current portion
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">745,188</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">756,395</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">603,941</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">624,786</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td colspan="17" align="left" style="border-top: 3px double #000000"> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<!-- Folio -->
<!-- /Folio -->
</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="center" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The carrying value of cash and cash equivalents, short-term debt and long-term
variable-rate debt approximates fair value. The fair value of long-term debt is based on
quoted market prices or is determined by discounting future cash flows using interest
rates available to the Company for issues with similar terms and average maturities.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">In accordance with U.S. GAAP, the Company records its derivatives as assets or liabilities
on the balance sheet at fair value using published market prices or estimated values based
on current price quotes and a discounted cash flow model to estimate the fair market value
of derivatives. Changes in the fair value of derivatives are recognized either in net
income or in other comprehensive income, depending on the designated purpose of the
derivative. It is the Company’s policy not to speculate in derivative instruments. The
Company has determined all hedges to be highly effective and as a result no material
ineffectiveness has been recorded.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company uses derivatives to mitigate the effect of fluctuations in some of its raw
material and energy costs, foreign currency fluctuations and interest rate movements. The
Company purchases commodities such as recovered paper, metal and energy generally at
market or at fixed prices that are established with the vendor as part of the purchase
process for quantities expected to be consumed in the ordinary course of business. The
Company may enter into forward contracts or other similar derivative contracts in order to
reduce the effect of commodity price fluctuations, and to manage its exposure to foreign
currency cash flows, assets, and liabilities. The Company is exposed to interest-rate
fluctuations as a result of using debt as a source of financing for its operations. The
Company may from time to time use traditional, unleveraged interest rate swaps to adjust
its mix of fixed and variable rate debt to manage its exposure to interest rate movements.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%"><u>Cash Flow Hedges</u>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">At April 3, 2011 and December 31, 2010, the Company had derivative financial instruments
outstanding to hedge anticipated transactions and certain asset and liability related cash
flows. To the extent considered effective, the changes in fair value of these contracts
are recorded in other comprehensive income and reclassified to income or expense in the
period in which the hedged item impacts earnings.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%"><i>Commodity Cash Flow Hedges</i>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company has entered into certain derivative contracts to manage the cost of
anticipated purchases of natural gas, aluminum and old corrugated containers. At April 3,
2011, natural gas swaps covering approximately 5.0 million MMBtus were outstanding. These
contracts represent approximately 70% and 50% of anticipated U.S. and Canadian usage for
2011 and 2012, respectively. Additionally, the Company had swap contracts covering 3.0
thousand metric tons of aluminum representing approximately 33% and 3% of anticipated
usage for 2011 and 2012, respectively, and 42.3 thousand short tons of old corrugated
containers representing approximately 3.4% of anticipated usage for 2011. The fair values
of the Company’s commodity cash flow hedges were in loss positions of $9,484 and $12,421
at April 3, 2011 and December 31, 2010, respectively. The amount of the loss included in
accumulated other comprehensive loss at April 3, 2011, that is expected to be reclassified
to the income statement during the next twelve months is $7,662.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%"><i>Foreign Currency Cash Flow Hedges</i>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company has entered into forward contracts to hedge certain anticipated foreign
currency denominated sales and purchases forecast to occur in 2011. At April 3, 2011, the
net position of these contracts was to purchase 58.6 million Canadian dollars, 159.7
million Mexican pesos, 682 thousand euros, 7.6 billion Colombian pesos and 9.5 billion
Indonesian rupiah, and to sell 1.0 million British pounds, 4.0 million Australian dollars,
2.2 million New Zealand dollars, 9.4 million Malaysian ringgits and 92.2 million Thailand
baht. The fair value of these foreign currency cash flow hedges was $1,982 at April 3,
2011, and $229 at December 31, 2010. During the first quarter of 2011, certain foreign
currency cash flow hedges related to construction in progress were settled as the capital
expenditures were made. A gain of $534 was reclassified from accumulated other
comprehensive loss and netted against the carrying value of the assets. The amount of the
gain included in accumulated other comprehensive loss at April 3, 2011 expected to be
reclassified to the income statement during the next twelve months is $1,969.
</div>
<!-- Folio -->
<!-- /Folio -->
</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="center" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%"><u>Other Derivatives</u>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company routinely enters into forward contracts or swaps to economically hedge the
currency exposure of intercompany debt and existing foreign currency denominated
receivables and payables. The Company does not apply hedge accounting treatment for these
instruments. As such, changes in fair value are recorded directly to income and expense in
the periods that they occur. At April 3, 2011, the net positions of these contracts were
to purchase 2.0 million Canadian dollars, 616 thousand British pounds, and 7.7 billion
Colombian pesos and to sell 18.7 million euros. The total fair value of these hedges was
$480 at April 3, 2011, and $60 at December 31, 2010.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The following table sets forth the location and fair values of the Company’s
derivative instruments at April 3, 2011:
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="59%"> </td>
<td width="3%"> </td>
<td width="28%"> </td>
<td width="3%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="3%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td nowrap="nowrap" align="left" style="border-bottom: 1px solid #000000"><b>Description</b></td>
<td> </td>
<td nowrap="nowrap" align="center" style="border-bottom: 1px solid #000000"><b>Balance Sheet Location</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3" style="border-bottom: 1px solid #000000"><b>Fair Value</b></td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Derivatives designated as hedging instruments:
</div></td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Commodity Contracts
</div></td>
<td> </td>
<td align="left" valign="top">Other Current Assets</td>
<td> </td>
<td align="right">$</td>
<td align="right">833</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Commodity Contracts
</div></td>
<td> </td>
<td align="left" valign="top">Other Current Liabilities</td>
<td> </td>
<td nowrap="nowrap" align="right">$</td>
<td align="right">(8,503</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Commodity Contracts
</div></td>
<td> </td>
<td align="left" valign="top">Other Long Term Assets</td>
<td> </td>
<td align="right">$</td>
<td align="right">95</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Commodity Contracts
</div></td>
<td> </td>
<td align="left" valign="top">Other Long Term Liabilities</td>
<td> </td>
<td nowrap="nowrap" align="right">$</td>
<td align="right">(1,909</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Foreign Exchange Contracts
</div></td>
<td> </td>
<td align="left" valign="top">Other Current Assets</td>
<td> </td>
<td align="right">$</td>
<td align="right">2,579</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Foreign Exchange Contracts
</div></td>
<td> </td>
<td align="left" valign="top">Other Current Liabilities</td>
<td> </td>
<td nowrap="nowrap" align="right">$</td>
<td align="right">(597</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Derivatives not designated as hedging instruments:
</div></td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Foreign Exchange Contracts
</div></td>
<td> </td>
<td align="left" valign="top">Other Current Assets</td>
<td> </td>
<td align="right">$</td>
<td align="right">417</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Foreign Exchange Contracts
</div></td>
<td> </td>
<td align="left" valign="top">Other Current Liabilities</td>
<td> </td>
<td nowrap="nowrap" align="right">$</td>
<td align="right">(17</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Foreign Exchange Contracts
</div></td>
<td> </td>
<td align="left" valign="top">Other long Term Assets</td>
<td> </td>
<td align="right">$</td>
<td align="right">80</td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The following table sets forth the effect of the Company’s derivative instruments on
financial performance for the three months ended April 3, 2011 and March 28, 2010:
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="38%"> </td>
<td width="3%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="3%"> </td>
<td width="3%"> </td>
<td width="11%"> </td>
<td width="3%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="3%"> </td>
<td width="3%"> </td>
<td width="17%"> </td>
<td width="3%"> </td>
<td width="2%"> </td>
<td width="1%"> </td>
<td width="2%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center"><b>Location of Gain</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"> </td>
<td> </td>
<td nowrap="nowrap" align="center"> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Amount of Gain or</b></td>
<td> </td>
<td nowrap="nowrap" align="center"><b>or (Loss)</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Amount of Gain or</b></td>
<td> </td>
<td nowrap="nowrap" align="center"><b>Location of Gain or</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Amount of Gain or</b></td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>(Loss) Recognized</b></td>
<td> </td>
<td nowrap="nowrap" align="center"><b>Reclassified from</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>(Loss) Reclassified</b></td>
<td> </td>
<td nowrap="nowrap" align="center"><b>(Loss) Recognized in</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>(Loss) Recognized</b></td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>in OCI on</b></td>
<td> </td>
<td nowrap="nowrap" align="center"><b>Accumulated OCI</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>from Accumulated</b></td>
<td> </td>
<td nowrap="nowrap" align="center"><b>Income on</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>in Income on</b></td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Derivative</b></td>
<td> </td>
<td nowrap="nowrap" align="center"><b>Into Income</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>OCI Into Income</b></td>
<td> </td>
<td nowrap="nowrap" align="center"><b>Derivative</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Derivative</b></td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td nowrap="nowrap" align="center" style="border-bottom: 1px solid #000000"><b>Description</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3" style="border-bottom: 1px solid #000000"><b>(Effective Portion)</b></td>
<td> </td>
<td nowrap="nowrap" align="center" style="border-bottom: 1px solid #000000"><b>(Effective Portion)</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3" style="border-bottom: 1px solid #000000"><b>(Effective Portion)</b></td>
<td> </td>
<td nowrap="nowrap" align="center" style="border-bottom: 1px solid #000000"><b>(Ineffective Portion)</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3" style="border-bottom: 1px solid #000000"><b>(Ineffective Portion)</b></td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Three months ended April 3, 2011</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Derivatives in Cash Flow
Hedging Relationships:</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Foreign Exchange Contracts
</div></td>
<td> </td>
<td align="right">$</td>
<td align="right">2,715</td>
<td> </td>
<td> </td>
<td align="left" valign="top">Net sales</td>
<td> </td>
<td align="right">$</td>
<td align="right">1,057</td>
<td> </td>
<td> </td>
<td align="left" valign="top">Net sales</td>
<td> </td>
<td align="right">$</td>
<td align="right">12</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td align="left" valign="top">Cost of sales</td>
<td> </td>
<td nowrap="nowrap" align="right"> </td>
<td align="right">(599</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Commodity Contracts
</div></td>
<td> </td>
<td nowrap="nowrap" align="right">$</td>
<td align="right">(812</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td align="left" valign="top">Cost of sales</td>
<td> </td>
<td nowrap="nowrap" align="right">$</td>
<td align="right">(3,700</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td align="left" valign="top">Cost of sales</td>
<td> </td>
<td align="right">$</td>
<td align="right">49</td>
<td> </td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Three months ended March 28, 2010</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Derivatives in Cash Flow
Hedging Relationships:</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Foreign Exchange Contracts
</div></td>
<td> </td>
<td align="right">$</td>
<td align="right">805</td>
<td> </td>
<td> </td>
<td align="left" valign="top">Net sales</td>
<td> </td>
<td nowrap="nowrap" align="right">$</td>
<td align="right">(532</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td align="left" valign="top">Net sales</td>
<td> </td>
<td align="right">$</td>
<td align="right">—</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Commodity Contracts
</div></td>
<td> </td>
<td nowrap="nowrap" align="right">$</td>
<td align="right">(8,392</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td align="left" valign="top">Cost of sales</td>
<td> </td>
<td nowrap="nowrap" align="right">$</td>
<td align="right">(2,222</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td align="left" valign="top">Cost of sales</td>
<td> </td>
<td nowrap="nowrap" align="right">$</td>
<td align="right">(513</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Fair value hedge derivatives:</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Interest Rate Swap
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td align="left" valign="top">Interest expense</td>
<td> </td>
<td nowrap="nowrap" align="right">$</td>
<td align="right">(29</td>
<td nowrap="nowrap">)</td>
</tr>
<!-- End Table Body -->
</table>
</div>
<!-- Folio -->
<!-- /Folio -->
</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="center" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
</div>
<div align="center" style="font-size: 10pt; margin-top: 0pt">
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="53%"> </td>
<td width="5%"> </td>
<td width="34%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="1%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center"><b>Location of Gain or</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center"><b>(Loss) Recognized</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center"><b>in Income</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3"><b>Gain or (Loss)</b></td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" style="border-bottom: 1px solid #000000"><b>Statement</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="3" style="border-bottom: 1px solid #000000"><b>Recognized</b></td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Derivatives not designated
as hedging instruments:</b>
</div></td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Three months ended
April 3, 2011</b>
</div></td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Foreign Exchange Contracts
</div></td>
<td> </td>
<td align="left" valign="top">Cost of sales</td>
<td> </td>
<td align="right">$</td>
<td align="right">412</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td align="left" valign="top">Selling, general and</td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td align="left" valign="top">administrative</td>
<td> </td>
<td align="right">$</td>
<td align="right">8</td>
<td> </td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Three months ended
March 28, 2010</b>
</div></td>
<td> </td>
<td align="left" valign="top"> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Foreign Exchange Contracts
</div></td>
<td> </td>
<td align="left" valign="top">Cost of sales</td>
<td> </td>
<td align="right">$</td>
<td align="right">541</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td align="left" valign="top">Selling, general and</td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td align="left" valign="top">administrative</td>
<td> </td>
<td align="right">$</td>
<td align="right">4</td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
</div>
<!--DOCTYPE html PUBLIC "-//W3C//DTD XHTML 1.0 Transitional//EN" "http://www.w3.org/TR/xhtml1/DTD/xhtml1-transitional.dtd" -->
<!-- Begin Block Tagged Note 8 - us-gaap:PensionAndOtherPostretirementBenefitsDisclosureTextBlock-->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="left" style="font-size: 10pt; margin-top: 12pt"><b>Note 8: Employee Benefit Plans</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%"><b><i>Retirement Plans and Retiree Health and Life Insurance Plans</i></b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company provides non-contributory defined benefit pension plans for a majority of its employees in the
United States and certain of its employees in Mexico and Belgium. Effective December 31, 2003, the Company
froze participation for newly hired salaried and non-union hourly U.S. employees in its traditional defined
benefit pension plan. At that time, the Company adopted a defined contribution plan, the Sonoco Investment and
Retirement Plan (SIRP), which covers its non-union U.S. employees hired on or after January 1, 2004. The
Company also sponsors contributory defined benefit pension plans covering the majority of its employees in the
United Kingdom, Canada, and the Netherlands.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">On February 4, 2009, the U.S. qualified defined benefit pension plan was amended to freeze
plan benefits for all active participants effective December 31, 2018. Remaining active
participants in the U.S. qualified plan will become participants of the SIRP effective
January 1, 2019.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company also provides postretirement healthcare and life insurance benefits to a
limited number of its retirees and their dependents in the United States and Canada, based
on certain age and/or service eligibility requirements.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The components of net periodic benefit cost include the following:
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="76%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="6" style="border-bottom: 1px solid #000000"><b>Three Months Ended</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2">April 3,</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2">March 28,</td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000">2011</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000">2010</td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Retirement Plans</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Service cost
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">5,103</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">5,238</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Interest cost
</div></td>
<td> </td>
<td> </td>
<td align="right">17,833</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">17,234</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Expected return on plan assets
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(21,330</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(18,849</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Amortization of net transition obligation
</div></td>
<td> </td>
<td> </td>
<td align="right">119</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">105</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Amortization of prior service cost
</div></td>
<td> </td>
<td> </td>
<td align="right">36</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">29</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Amortization of net actuarial loss
</div></td>
<td> </td>
<td> </td>
<td align="right">5,941</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">8,332</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Net periodic benefit cost
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">7,702</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">12,089</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px"><b>Retiree Health and Life Insurance Plans</b>
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Service cost
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">304</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">286</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Interest cost
</div></td>
<td> </td>
<td> </td>
<td align="right">430</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">580</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Expected return on plan assets
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(357</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(334</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Amortization of prior service credit
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(1,992</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(2,469</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Amortization of net actuarial loss
</div></td>
<td> </td>
<td> </td>
<td align="right">352</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">569</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Net periodic benefit income
</div></td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(1,263</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(1,368</td>
<td nowrap="nowrap">)</td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<!-- Folio -->
<!-- /Folio -->
</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="center" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">During the three months ended April 3, 2011, the Company made contributions of
$89,568 to its defined benefit retirement and retiree health and life insurance plans,
including an $85,142 contribution to its U.S. qualified defined benefit pension plan. The
Company anticipates that it will make additional contributions of approximately $19,500 to
its defined benefit retirement and retiree health and life insurance plans in 2011.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%"><b><i>Sonoco Investment and Retirement Plan (SIRP)</i></b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company recognized SIRP expense totaling $2,035 and $2,537 for the quarters ended
April 3, 2011 and March 28, 2010, respectively. Contributions to the SIRP, annually
funded in the first quarter, totaled $8,568 during the three months ended April 3, 2011.
No additional SIRP contributions are expected during the remainder of 2011.
</div>
</div>
<!--DOCTYPE html PUBLIC "-//W3C//DTD XHTML 1.0 Transitional//EN" "http://www.w3.org/TR/xhtml1/DTD/xhtml1-transitional.dtd" -->
<!-- Begin Block Tagged Note 9 - us-gaap:IncomeTaxDisclosureTextBlock-->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="left" style="font-size: 10pt; margin-top: 12pt"><b>Note 9: Income Taxes</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company’s effective tax rate for the three-month periods ending April 3, 2011 and
March 28, 2010, was 31.1% and 29.6%, respectively. The rates for both quarters varied
from the U.S. statutory rate primarily due to the favorable effect of international
operations that are subject to tax rates generally lower than the U.S. rate, the favorable
effect of the manufacturer’s deduction, and other U.S. tax adjustments. The U.S. federal
manufacturing deduction was limited to a larger extent in 2011 resulting in a smaller
favorable impact on the Company’s effective tax rate in the first quarter of 2011 than in
the same period last year. These favorable benefits were partially offset by the
unfavorable effects of state taxes and other U.S. tax adjustments.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company and/or its subsidiaries file federal, state and local income tax returns in
the United States and various foreign jurisdictions. The Company is no longer subject to
U.S. federal income tax examination by tax authorities for years before 2007. With few
exceptions, the Company is no longer subject to examination prior to 2006 with respect to
U.S. state and local and non-U.S. income taxes.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">There have been no significant changes in the Company’s liability for uncertain tax
positions since December 31, 2010. The Company’s estimate for the potential outcome for
any uncertain tax issue is highly judgmental. Management believes that any reasonably
foreseeable outcomes related to these matters have been adequately provided for. However,
future results may include favorable or unfavorable adjustments to estimated tax
liabilities in the period the assessments are made or resolved or when statutes of
limitation on potential assessments expire. Additionally, the jurisdictions in which
earnings or deductions are realized may differ from current estimates. As a result, the
Company’s effective tax rate may fluctuate significantly on a quarterly basis.
</div>
</div>
<!--DOCTYPE html PUBLIC "-//W3C//DTD XHTML 1.0 Transitional//EN" "http://www.w3.org/TR/xhtml1/DTD/xhtml1-transitional.dtd" -->
<!-- Begin Block Tagged Note 10 - us-gaap:ScheduleOfNewAccountingPronouncementsAndChangesInAccountingPrinciplesTextBlock-->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="left" style="font-size: 10pt; margin-top: 12pt"><b>Note 10: New Accounting Pronouncements</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">During the quarter ended April 3, 2011, there have been no newly issued nor newly
applicable accounting pronouncements that have or are expected to have a significant
impact on the Company’s financial statements.
</div>
</div>
<!--DOCTYPE html PUBLIC "-//W3C//DTD XHTML 1.0 Transitional//EN" "http://www.w3.org/TR/xhtml1/DTD/xhtml1-transitional.dtd" -->
<!-- Begin Block Tagged Note 11 - us-gaap:SegmentReportingDisclosureTextBlock-->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="left" style="font-size: 10pt; margin-top: 12pt"><b>Note 11: Financial Segment Information</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">Sonoco reports its results in three segments, Consumer Packaging, Tubes and Cores/Paper
and Packaging Services. The remaining operations are reported as All Other Sonoco.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Consumer Packaging segment includes the following products and services: round and
shaped rigid containers and trays (both composite and plastic); printed flexible
packaging; metal and peelable membrane ends and closures; and global brand artwork
management.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Tubes and Cores/Paper segment includes the following products: high-performance paper
and composite paperboard tubes and cores; fiber-based construction tubes and forms; and
recycled paperboard, linerboard, corrugating medium, recovered paper and other recycled
materials.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Packaging Services segment provides the following products and services: designing,
manufacturing, assembling, packing and distributing temporary, semipermanent and permanent
point-of-purchase displays; and supply chain management services, including contract
packing, fulfillment and scalable service centers.
</div>
<!-- Folio -->
<!-- /Folio -->
</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="center" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">All Other Sonoco represents the Company’s businesses that do not meet the
aggregation criteria for inclusion as a separate reportable segment under U.S. GAAP. All
Other Sonoco includes the following products: wooden, metal and composite wire and cable
reels; molded and extruded plastics; custom-designed protective packaging; and paper
amenities such as coasters and glass covers.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The following table sets forth net sales, intersegment sales and operating profit for the
Company’s three reportable segments and All Other Sonoco. Operating profit at the segment
level is defined as “Income before interest and income taxes” on the Company’s Condensed
Consolidated Statements of Income, adjusted for restructuring/asset impairment charges,
which are not allocated to the reporting segments.
</div>
<div align="center" style="font-size: 10pt; margin-top: 18pt"><b>FINANCIAL SEGMENT INFORMATION</b>
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="76%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="6" style="border-bottom: 1px solid #000000"><b>Three Months Ended</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2">April 3,</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2">March 28,</td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000">2011</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000">2010</td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Net sales:
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Consumer Packaging
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">459,409</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">381,633</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Tubes and Cores/Paper
</div></td>
<td> </td>
<td> </td>
<td align="right">444,067</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">369,874</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Packaging Services
</div></td>
<td> </td>
<td> </td>
<td align="right">121,176</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">111,913</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">All Other Sonoco
</div></td>
<td> </td>
<td> </td>
<td align="right">92,671</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">71,713</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:60px; text-indent:-15px">Consolidated
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">1,117,323</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">935,133</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Intersegment sales:
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Consumer Packaging
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">652</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">531</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Tubes and Cores/Paper
</div></td>
<td> </td>
<td> </td>
<td align="right">25,163</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">20,256</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Packaging Services
</div></td>
<td> </td>
<td> </td>
<td align="right">303</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">226</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">All Other Sonoco
</div></td>
<td> </td>
<td> </td>
<td align="right">10,542</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">9,761</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:60px; text-indent:-15px">Consolidated
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">36,660</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">30,774</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Income before interest and income taxes:
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Operating profit
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:45px; text-indent:-15px">Consumer Packaging
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">45,944</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">45,656</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:45px; text-indent:-15px">Tubes and Cores/Paper
</div></td>
<td> </td>
<td> </td>
<td align="right">28,613</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">21,503</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:45px; text-indent:-15px">Packaging Services
</div></td>
<td> </td>
<td> </td>
<td align="right">6,095</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">5,079</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:45px; text-indent:-15px">All Other Sonoco
</div></td>
<td> </td>
<td> </td>
<td align="right">10,519</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">7,384</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Restructuring/Asset impairment charges
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(2,317</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(3,947</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Other, net
</div></td>
<td> </td>
<td> </td>
<td align="right">740</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:60px; text-indent:-15px">Consolidated
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">89,594</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">75,675</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
</div>
<!--DOCTYPE html PUBLIC "-//W3C//DTD XHTML 1.0 Transitional//EN" "http://www.w3.org/TR/xhtml1/DTD/xhtml1-transitional.dtd" -->
<!-- Begin Block Tagged Note 12 - us-gaap:CommitmentsAndContingenciesDisclosureTextBlock-->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="left" style="font-size: 10pt; margin-top: 12pt"><b>Note 12: Commitments and Contingencies</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company is a party to various legal proceedings incidental to its business and is
subject to a variety of environmental and pollution control laws and regulations in all
jurisdictions in which it operates. The Company is also currently a defendant in a class
action by persons who bought Company stock between February 7, 2007 and September 18,
2007. The complaint, as amended, alleges that the Company issued press releases and made
public statements during the class period that were materially false and misleading. The
complaint seeks an unspecified amount of damages plus interest and attorneys’ fees. As is
the case with other companies in similar industries, the Company faces exposure from
actual or potential claims and legal proceedings. Some of these exposures have the
potential to be material. Information with respect to these and other exposures appears in
Part II — Item 8 — “Financial Statements and Supplementary Data” (Note 14 — “Commitments
and Contingencies”) in the Company’s Annual Report on Form 10-K. The Company cannot
currently estimate the final outcome of many of the items described or the ultimate amount
of potential losses.
</div>
<!-- Folio -->
<!-- /Folio -->
</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="center" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">Pursuant to U.S. GAAP, accruals for estimated losses are recorded at the time
information becomes available indicating that losses are probable and that the amounts are
reasonably estimable. Amounts so accrued are not discounted. While the ultimate
liabilities relating to claims and proceedings may be significant to profitability in the
period recognized, it is management’s opinion that such liabilities, when finally
determined, will not have an adverse material effect on Sonoco’s consolidated financial
position or liquidity.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%"><b><i>Environmental Matters</i></b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">During the fourth quarter of 2005, the U. S. Environmental Protection Agency (EPA)
notified U.S. Paper Mills Corp. (U.S. Mills), a wholly owned subsidiary of the Company,
that U.S. Mills and NCR Corporation (NCR), an unrelated party, would be jointly held
responsible to undertake a program to remove and dispose of certain PCB-contaminated
sediments at a particular site on the lower Fox River in Wisconsin (the “Site”). U.S.
Mills and NCR reached an agreement between themselves that each would fund 50% of the
costs of remediation. The Company has expensed a total of $17,650 for its estimated share
of the total cleanup cost of the Site, and through April 3, 2011, has spent a total of
$14,467. The remaining accrual of $3,183 represents the Company’s best estimate of what
it is likely to pay to complete the Site project. However, the actual costs associated
with cleanup of the Site are dependent upon many factors and it is possible that
remediation costs could be higher than the current estimate of project costs. The Company
acquired U.S. Mills in 2001, and the alleged contamination predates the acquisition.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The EPA and Wisconsin Department of Natural Resources (WDNR) have also issued a general
notice of potential liability under the Comprehensive Environmental Response,
Compensation, and Liability Act (CERCLA) and a request to participate in remedial action
implementation negotiations relating to a stretch of the lower Fox River, including the
bay at Green Bay, (Operating Units 2 — 5) to eight potentially responsible parties,
including U.S. Mills. Operating Units 2 — 5 include, but also comprise a vastly larger
area than, the Site. A detailed description of the claims and proceedings associated
therewith appears in Part II — Item 8 — “Financial Statements and Supplementary Data”
(Note 14 — “Commitments and Contingencies”) in the Company’s Annual Report on Form 10-K.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">On October 14, 2010, the EPA and WDNR filed suit against NCR, API, U.S. Mills and nine
other defendants in the United States District Court for the Eastern District of Wisconsin
(No. 10-CV-00910-WCG) pursuant to Sections 106 and 107 of CERCLA. The plaintiffs seek to
recover unreimbursed costs incurred for activities undertaken in response to the release
and threatened release of hazardous substances from facilities at or near the Lower Fox
River and Green Bay as well as damages for injury to, loss of, and destruction of natural
resources resulting from such releases. The plaintiffs also seek a ruling that the
defendants are liable for future response costs of the plaintiffs and requiring the
defendants to comply with the unilateral Administrative Order for Remedial Action
discussed in prior filings. The Company does not believe that the remedies sought in the
suit materially expand the Company’s potential liability beyond what has been disclosed in
this report or in the Company’s prior filings with the SEC. U.S. Mills plans to defend
the suit vigorously.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">Since 2007, U.S. Mills has expensed a total of $60,825 for potential liabilities
associated with the Fox River contamination (not including amounts expensed for
remediation at the Site) and through April 3, 2011, has spent a total of $5,561, primarily
on legal fees. Although the Company lacks a reasonable basis for identifying any amount
within the range of possible loss as a better estimate than any other amount, as has
previously been disclosed, the upper end of the range may exceed the net worth of U.S.
Mills. However, because the discharges of hazardous materials into the environment
occurred before the Company acquired U.S. Mills, and U.S. Mills has been operated as a
separate subsidiary of the Company, the Company does not believe that it bears financial
responsibility for these legacy environmental liabilities of U.S. Mills. Therefore, the
Company continues to believe that the maximum additional exposure to its consolidated
financial position is limited to the equity position of U.S. Mills, which was
approximately $85,000 at April 3, 2011.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">The Company has been named as a potentially responsible party at several other
environmentally contaminated sites. All of the sites are also the responsibility of other
parties. The potential remediation liabilities are shared with such other parties, and, in
most cases, the Company’s share, if any, cannot be reasonably estimated at the current
time.
</div>
<!-- Folio -->
<!-- /Folio -->
</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="center" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">As of April 3, 2011 and December 31, 2010, the Company (and its subsidiaries) had
accrued $61,665 and $62,026, respectively, related to environmental contingencies. Of
these, a total of $58,447 and $58,727 relate to U.S. Mills at April 3, 2011 and December
31, 2010, respectively. These accruals are included in “Accrued expenses and other” on the
Company’s Condensed Consolidated Balance Sheets. U.S. Mills recognized a $40,825 benefit
in 2008 from settlements reached and proceeds received on certain insurance policies
covering the Fox River contamination. U.S. Mills’ two remaining insurance carriers are in
liquidation. It is possible that U.S. Mills may recover from these carriers a small
portion of the costs it ultimately incurs. U.S. Mills may also be able to reallocate some
of the costs it incurs among other parties. There can be no assurance that such claims
for recovery or reallocation would be successful and no amounts have been recognized in
the consolidated financial statements of the Company for such potential recovery or
reallocation.
</div>
</div>
false
--12-31
Q1
2011
2011-04-03
10-Q
0000091767
99692614
Yes
Large Accelerated Filer
3009037418
SONOCO PRODUCTS CO
No
Yes
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Prior year's data have been reclassified to conform to the current year's presentation
The year-end condensed consolidated balance sheet data was derived from audited financial statements but does not include all disclosures required by generally accepted accounting principles.